Opinion of the Advisory Council of ICP-ANACOM on the tariffs of the Telephone Service provided at a Fixed Location


I

1. PT Comunicações, S.A. submitted a tariff proposal for 2009 to ICP-ANACOM with respect to the fixed telephone service from public payphones, which is characterized by an increase in the simplicity and standardization of pricing, including prices, credit and timings of impulses which are identical in all time periods, as well as uniformity of prices in local, national and VoIP calls to any network.

2. According to information provided by ICP-ANACOM:

a. The proposal under analysis regards both the determination of 14/12/04 of ICP-ANACOM with basis in the rules established therein, with maintenance of the relation of ''3 to 1'' in prices between calls originating from the public payphones of PTC and calls originated from subscriber telephones, and the determination of March 2007 which allowed two options for pricing in the mode of fixed telephone subscriber.

b. In the tariff proposal submitted and with respect to the fixed telephone services from public payphones, PTC chose Option 2 which ensures a practised price of less than 60 cents (including VAT) in the monthly charge for analogue access, over the value charged in Option 1.

c. The ''use of Option 2 is correct'' for the verification of compliance with the relation of ''3 to 1'', in respect of the current formation of the 2 Options, whereas it is verified that the ratio obtained in the proposed tariff between the average price of calls in the public payphone modality and in the subscriber modality is 2.9.

d. With respect to fixed-fixed PTC-Other Operator calls, the proposed tariff is also shown to be in compliance with the applicable regulatory framework, without distinction in the prices of fixed-fixed calls based on the destination operator.

Accordingly:

II

3. The specialist committee of the Advisory Council considering:

a. The information provided by ICP-ANACOM referred to in the previous chapter;

b. That no significant difference is found between the use of one or other of the options, and that the proposed tariff leads to greater simplicity and uniformity, with prices, time credits and timings of impulses identical in all time periods and also uniformity of local, national and VOIP calls to any network;

takes an opinion which is favourable to its application.

III

4. In the light of the tariff proposal submitted, the Specialist Commission discussed other matters deemed appropriate in operational or strategic terms and correlated with the subject under consideration.  It calls upon the Management Board of ICP-ANACOM to consider these matters, namely:

a. The possibility of adopting the price ratio of 3 to 1 within the scope of the existing regulatory framework for traffic with payphone origination (US) made to all national networks;

b. Review of the obligation of public payphone provision within the scope of the Universal Service, given the current widespread availability of comparable services, in view of the level of penetration of the mobile telephone services;

c. The evolution of the ongoing work to revise the Universal Service Directive of the EU, whose conclusion is recommended.

Approved by the Specialist Committee on 20 March 2009